In response to a recent constitutional court ruling in Germany, the government has stopped spending from the economic stabilisation fund for the year 2023. This decision was announced by a source close to the finance ministry, who explained that credit authorisations for the ESF can no longer be used under current legal conditions. All spending that has not been used in 2023 is now blocked and requires the consent of the finance ministry.
The budget committee had previously been able to give approval for such spending, but this is no longer possible under the new ruling. The economic stabilisation fund, created in 2020 to support companies during the pandemic, has since focused on addressing the energy crisis.
This news was first reported by Handelsblatt business daily, which stated that payments related to the energy price brake for this year are not affected by the ruling. The government is currently working on developing a response to address the implications of this court ruling and blocked spending from the ESF for 2023.